• Average 3Q15e ROE = 23.6% - down vs. 2Q on lower financial income 3Q15 NII came in 8% above our estimates. As expected 3Q was lowered by, a poor financial result but never the less net profit came in 10% above our already fairly positive outlook. • 6% leverage ratio not problematic for niche banks

In our scenario analysis, we find that the exceptionally high ROE is adequate in raising capital organically if lending growth stay at these levels. In 16 we estimate a avg. leverage ratio of ~11%, but in particular, Bank Norwegian and Pareto Bank have limited growth potential at current capitalization. We estimate lending growth for the two banks in 2016 to be 35% and 4.5% respectively.